Language learning platform Preply has reached a significant milestone with its recent $150 million Series D funding round, bringing its valuation to $1.2 billion. This marks a new chapter for the 14-year-old company, which has garnered support from notable investors such as Horizon Capital, Hoxton Ventures, Owl Ventures, and Techstars Berlin.
Since its inception in 2013, Preply has been connecting language learners with tutors, and the platform has now achieved EBITDA profitability for twelve consecutive months. This achievement has been accompanied by a strategic focus on integrating artificial intelligence (AI) to enhance the learning experience for its 100,000 tutors and facilitate further growth.
While some companies in the education technology space have faced criticism for prioritizing AI over human instructors, Preply remains committed to the crucial role that tutors play in its platform. CEO Kirill Bigai emphasizes that AI is intended to complement and enhance the human-guided learning experience, rather than replace it entirely. By leveraging AI technology, Preply aims to provide personalized lesson summaries, homework assignments, and optimal tutor matches for learners.
To bolster its AI capabilities, Preply is actively recruiting AI talent across its global offices in Barcelona, London, New York, and Kyiv. Despite the ongoing conflict in Ukraine, the company has demonstrated unwavering support for its Ukrainian team members, with approximately 150 employees based in Kyiv. Preply has taken measures to ensure the safety and well-being of its staff, including providing access to essential resources during periods of hardship.
The resilience and creativity displayed by the Ukrainian team members in the face of adversity have not gone unnoticed by Bigai, who acknowledges the profound impact of the current geopolitical situation on both the company and its employees. This challenging period has strengthened Preply’s resolve and fostered a sense of unity among its workforce.
With this latest funding round, Preply joins the ranks of Ukrainian unicorns such as Fintech-IT Group and Grammarly, positioning itself as a prominent player in the edtech sector. While there are no immediate plans for an initial public offering (IPO), Bigai acknowledges the expertise of WestCap, the growth equity firm led by former Airbnb CFO Laurence Tosi, in taking companies public. This strategic partnership may pave the way for future growth opportunities for Preply.
As Preply continues to innovate and expand its offerings, the company remains dedicated to delivering a personalized and effective language learning experience that combines the best of human expertise and AI technology. With a strong foundation and a clear vision for the future, Preply is poised to make a lasting impact in the global education landscape.
